Who you gonna trust?

By C. Daymon and K. Price

Abstract

The extent to which companies are perceived to be trustworthy and therefore able to involve stakeholders in close relationships may be undermined in a time of crisis depending on the level of stakeholder trust. Where trust and intimacy are perceived to be well embedded in stakeholder relationships, a crisis may not necessarily be detrimental to the business but instead provide an opportunity for companies to interact with stakeholders in new, more meaningful ways. PR and internal communications play a key role in developing understanding and trust by those who have a potential or actual interest in a company. Arguably, the spate of corporate scandals and unethical practices by corporations around the world have contributed to distrust from the public in businesses. People are no longer willing to cooperate with or purchase from companies that have misled or manipulated them..